Osun Residents Face Cash Crunch As Banks, ATMs Run Dry

Residents of Osogbo, the capital of Osun State, are grappling with a severe cash shortage that has left Automated Teller Machines (ATMs) and Point-of-Sale (POS) terminals empty.

THE WHISTLER reports that the situation has caused frustration and disruption to the daily lives of the residents.

Our correspondent reports that despite banks remaining open, their ATMs are unable to dispense cash to customers.

This was observed at several major banks in the city, including First Bank, Zenith Bank, Stanbic Bank, Keystone Bank, Ecobank, and United Bank of Africa.

The scarcity of cash has also affected POS operators, who rely on banks to replenish their supply.

Many POS terminals are now unable to process transactions due to a lack of funds.

“We don’t have money to give to our customers,” said Layo, a POS operator, told THE WHISTLER on Wednesday.

“Myself and two of my colleagues went to the bank this morning but they told us that they didn’t have cash at hand. They assured us that they will have money later in the day.”

Residents also expressed their exasperation over the cash crunch.

“I have gone round the banks today and none of their ATMs is working,” said Jide, a resident of Osogbo. “I went to Ogo-Oluwa, Aregbe, and Fakunle, the ATMs were not working, they were not dispensing cash. I am heading to banks at Fagbewesa and Station road in Osogbo. I am just tired of this development.”

Bello, a civil servant, also lamented: “I came to town this morning to buy things for my children. Unfortunately, I wanted to withdraw from the bank, but they told me that they didn’t have cash. I rushed to the POS stands, it was the same thing until I saw one that charged N200 for withdrawing N5000.”

The Central Bank of Nigeria (CBN) recently attributed the challenge to panic cash withdrawals by members of the public.

THE WHISTLER reported that in response to the problem, the apex bank said it was planning to vacate a subsisting order of the Supreme Court that gave December 31, 2023 deadline for the old N1000, N500 and N200 notes to cease to be legal tender.

“Without prejudice, the Central Bank of Nigeria wishes to inform the general public of its desire to extend the legal tender status deadline of the old design of N200, N500 and N1,000 denominations, ad infinitum. This is in line with international best practices and to forestall a repeat of earlier experiences.

“Thus, all banknotes issued by the Central Bank of Nigeria (CBN), in accordance with Section 20(5) of the CBN Act 2007, will continue to remain legal tender, ad infinitum, even beyond the initial December 31, 2023, deadline.

“The Central Bank of Nigeria is working with the relevant authorities to vacate the subsisting court ruling on the same subject,” the CBN said Tuesday in a statement by Isa AbdulMumin.